Tile and ceramic trading in India has specialized compliance requirements that generic retail accounting software fails to handle. From box-to-sq.ft calculations to mandatory HSN 6-digit schedules and transport weight declarations, getting small details wrong can result in border detentions, GSTR mismatches, or hefty penalties during tax audits.
Here is the essential checklist we engineered ClayBill around to ensure 100% audit-proof compliance.
1. Correct HSN Code & Ceramic Description
Ceramic and vitrified tiles primarily fall under HSN Chapter 69:
- ✓HSN 6907: Ceramic flags, paving, hearth or wall tiles; ceramic mosaic cubes and the like, whether or not on a backing; finishing ceramics (Glazed Vitrified Tiles - GVT, PGVT, Full Body).
- ✓HSN 6908: Glazed ceramic tiles (historic classifications).
Under current GST regulations, businesses with turnover above ₹5 Crores must declare the full 6-digit or 8-digit HSN code (e.g., 690721 for tiles with a water absorption coefficient by weight not exceeding 0.5%). Setting your HSN master properly ensures that every printed invoice and E-Way bill contains valid classifications automatically.